DELTA AIR LINES, INC., APPELLANT,
v.
RICHARD EARL CUNNINGHAM AND ANIRAM CUNNINGHAM, APPELLEES

Fla. 3d DCA | 1995-06-14
No. 95-1098
Before SCHWARTZ, C.J., and NESBITT, and COPE, JJ.
658 So. 2d 556 Florida District Court of Appeal, Third District (1995) Positive Treatment
Cited by 21 cases

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Synopsis

Delta Air Lines appeals an order denying its motion for summary judgment seeking worker's compensation immunity in a negligence suit brought by an injured subcontractor employee. The court held that Delta is a statutory employer under Florida law because it subcontracted part of its obligation to maintain equipment to Intex, and therefore the injured worker's exclusive remedy is worker's compensation, barring the negligence suit.


Holding

Delta is a statutory employer of Cunningham under Florida Statute § 440.10(1)(b) because Delta subcontracted part of its contractual obligation to maintain equipment to Intex, and therefore Cunningham's worker's compensation benefits from Intex are his exclusive remedy, barring the negligence suit against Delta.


Headnotes

[1] A contractor is deemed to be the employer of a subcontractor's employees when the subcontractor performs any part of the contractor's contract work, for purposes of worke…

[2] An employer's liability for worker's compensation benefits is exclusive and in place of all other liability for injuries sustained by an employee.

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Key Quotes

“all of the employees of such contractor and subcontractor or subcontractors engaged on such contract work shall be deemed to be employed in one and the same business or establishment”

Establishes the statutory basis for treating subcontractor employees as employees of the prime contractor for worker's compensation purposes

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Facts & Procedural History

Delta Air Lines subcontracted cleaning and servicing work to Intex, work previously performed by Delta employees. Richard Earl Cunningham worked for I…

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Opinion of the Court
NESBITT, Judge.

NESBITT, Judge.

Delta Air Lines, Inc. appeals an interlocutory order denying its motion for final summary judgment. We have jurisdiction because the order determined that the defendant was not entitled to worker’s compensation immunity as a matter of law. Fla. R.App.P. 9.130(a)(3)(C)(vi). For the following reasons, we reverse.

Delta subcontracted certain cleaning and servicing work to Intex, work previously performed by Delta personnel. As part of the contract, Delta required Intex to maintain worker’s compensation insurance for its employees. Richard Earl Cunningham worked for Intex under the Delta subcontract. When he was injured on the job, he applied for and received worker’s compensation benefits from Intex for his injury. Cunningham then filed a complaint against Delta seeking damages for his injury, alleging that his injury was a result of Delta’s negligence. Delta filed a motion for final summary judgment on the grounds that it was Cunningham’s statutory employer under the worker’s compensation statute, and it was therefore immune from suit because Cunningham’s statutory compensation was his exclusive remedy.

The lower court denied the motion, and Delta appeals.

Section 440.10(l)(b), Florida Statutes (1993), states that “[I]n ease a contractor sublets any part or parts of his contract work to a subcontractor ... all of the employees of such contractor and subcontractor or subcontractors engaged on such contract work shall be deemed to be employed in one and the same business or establishment.” Here, as a common carrier Delta has an express and implied contractual obligation to its customers to maintain its equipment properly, and it subcontracted part of that overall responsibility to Intex. See 13 Am.Jur.2d, Carriers, § 175 (1964) (common carrier owes public a duty to care for all to the extent of its capacity); § 226 (contract for transport by common carrier may be either express or implied).

Pursuant to the explicit language of 440.10, Cunningham is considered to be Delta’s employee. See Gator Freightways, Inc. v. Roberts, 550 So. 2d 1117 (Fla.1989); Miami Herald Publishing v. Hatch, 617 So. 2d 380 (Fla. 1st DCA 1993). Also, in light of section 440.10’s language that a contractor may subcontract “any part or parts” of its work, Intex’s argument that the work must be primary to the contract fails.

Section 440.11(1) provides, in part, that “[T]he liability of an employer ... shall be exclusive and in place of all other liability of such employer....” Pursuant to this statute, a successful compensation claim in Florida bars a subsequent damage suit. By establishing that a portion of Delta’s contractual obligation to its customers was subcontracted to Intex, Delta is by statute considered to be an employer of Intex. Because Cunningham is, through Intex, a statutory employee of Delta, and because Intex paid his worker’s compensation claim, Cunningham is barred from pursuing his negligence suit against Delta. To hold Delta liable in a tort action for the same injury already compensated by Intex through its worker’s compensation insurance circumvents the express purpose of the worker’s compensation statute. That purpose is to “assure the quick and efficient delivery of disability and medical benefits to an injured worker at reasonable cost to the employer,” based “on a mutual renunciation of common law rights and defenses by employers and employees alike.” § 440.015, Fla.Stat. (1993).

In return for accepting vicarious liability for all work-related injuries and for surrendering traditional defenses, the employer is allowed to treat compensation as a routine cost without exposure to tort litigation, while similarly, the employee relinquishes those tort remedies for a system of compensation which spares the cost, delay, and uncertainty of litigation. Chorak v. Naughton, 409 So. 2d 35 (Fla. 2d DCA 1981); see also Michael v. Centex-Rooney Constr. Co., 645 So. 2d 133 (Fla. 4th DCA 1994); Pearson v. Harris, 449 So. 2d 339 (Fla. 1st DCA 1984); Matthews v. G.S.P. Corp., 354 So. 2d 1243 (Fla. 1st DCA 1978). Accordingly, we reverse the interlocutory order denying Delta’s motion for final summary judgment, and remand for further proceedings consistent with this opinion.


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Citator

Cited By (11 total)

  • Rabon v. INN OF Lake City, Inc., 693 So. 2d 1126 (Fla. 1st DCA 1997)
    …2d at 663. The contractual obligation need not be pursuant to an express provision contained in a written contract, Antinarelli, 642 So. 2d at 663, but may either be an express or implied contractual obligation, Delta Air Lines, Inc. v. Cunningham, 658 So. 2d 556, 557 (Fla. 3d DCA 1995), rev. denied, 668 So. 2d 602 (Fla.1996). The issue presented here is whether the undisputed material facts in the record are sufficient to establish that the Inn had a contractual obligation to provide guard services for its…
    1 / 2
  • Vallejos v. LAN Cargo S.A., 116 So. 3d 545 (Fla. 3d DCA 2013)
    …eceives workers’ compensation benefits, a subsequent negligence suit is barred. Yero v. Miami-Dade Cnty., 838 So. 2d 686, 687 (Fla. 3d DCA 2003); Townsend v. Conshor, Inc., 832 So. 2d 166, 167 (Fla. 2d DCA 2002); Delta Air Lines, Inc. v. Cunningham, 658 So. 2d 556, 557 (Fla. 3d DCA 1995); Coney v. Int’l Minerals & Chem. Corp., 425 So. 2d 171, 171-72 (Fla. 2d DCA 1983). Not only did Vallejos file an initial petition, but he filed six supplemental petitions. Professional and its carrier paid all of his medical…
  • Broward Cnty. v. Denzil Rodrigues, 686 So. 2d 774 (Fla. 4th DCA 1997)
    …contractor do so, the statutory employer is immune from suit for the employee’s personal injuries, as worker’s compensation is the exclusive remedy. Gator Freightways, Inc. v. Roberts, 550 So. 2d 1117 (Fla.1989); Delta Air Lines, Inc. v. Cunningham, 658 So. 2d 556 (Fla. 3d DCA 1995); § 440.11, Fla. Stat. (1993). We note that section 440.10(l)(b) covers a subcontract of “any part or parts” of the work for which the statutory employer is obligated. In Delta Air Lines, the airline had subcontracted certain serv…

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